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Survey reveals the spending habits of Millennials (spoiler: they like coffee and eating out)

New research from LendEDU shows that 27% of Millennials dole out more money paying for coffee monthly than they save for retirement in that same time period. But while 37% of Millennials admitted to putting no money away each month for their Golden Years, the average one who does, saves $480 a month for retirement using a “401(k), savings account, or another method.”

As for how the research was carried out, Pollfish surveyed 1,000 American Millennials (ages 22 to 37) for the company.

How much Millennials spend monthly, versus saving for retirement

Keeping the monthly retirement savings average of $480 in mind, let’s take a look at how much Millennials’ monthly expenses reportedly compare to that amount:

Coffee: $38/month

  • 27% spend more on this monthly than they save for retirement
  • 27% spend nothing on this item

Alcohol: $75/month

  • 27% spend more on this monthly than they save for retirement
  • 32% spend nothing on this item

Marijuana: $39/month

  • 11% spend more on this monthly than they save for retirement
  • 75% spend nothing on this item

Restaurants: $163/month

  • 49% spend more on these monthly than they save for retirement
  • 6% spend nothing on this

Groceries: $281/month

  • 65% spend more on these monthly than they save for retirement
  • 3% say they spend nothing on this

Online streaming services: $18/month

  • 26% spend more on these monthly than they save for retirement
  • 26% spend nothing on this

Concerts, sports and more: $49/month

  • 15% spend more on these monthly than they save for retirement
  • 54% spend nothing on these activities

Tobacco, vaporizer, or JUUL products: $43/month

  • 17% spend more on these monthly than they save for retirement
  • 63% spend nothing on this

New clothing: $82/month

  • 32% spend more on these monthly than they save for retirement
  • 21% spend nothing on these

Music streaming services: $7/month

  • 12% spend more on these monthly than they save for retirement
  • 61% spend nothing on this

Working out: $23/month

  • 11% spend more on this monthly than they save for retirement
  • 60% spend nothing on this

“Retirement is something I mildly obsess over because I understand my generation might not have access to social security. I prefer to put money in my 401(k) versus setting it aside in a separate retirement savings account because then I don’t have to think about saving versus spending – it takes away the decision and forces me to save,” Bridget Devine, a PR manager in her twenties, told LendEDU. Devine says she puts 14% of the money she earns from working into her 401(k).

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